The Supreme Court today issued a notice to the central government, market regulator Securities and Exchange Board of India (Sebi), its current chairman UK Sinha, and Omita Pal – former advisor to the Finance Minister.
The notice was issued on a public interest litigation which alleged that Mr Sinha was appointed in violation of rules. The petition also alleged that Mr Sinha had suppressed information about his last drawn salary. The Supreme Court has directed the respondents to file their reply in four weeks.
In November 2011, the top court had dismissed a similar petition challenging the appointment of Mr Sinha. The petition, filed by former IAF chief S Krishnaswamy and retired IPS officer Julio Ribeiro, had submitted that the new procedure, stipulating a five-member selection committee for selection of the Sebi chief in place of the existing three members, was wrong and there was an ulterior motive behind it.